The Union Ministry of Labour and Employment has notified draft rules under the newly formed Code on Social Security, 2020. The State governments will formulate certain policies under these Rules to provide social security benefits to informal and gig workers mainly in the informal sector. These policies will be monitored by the central government through a national platform.
Through the registration procedure gig workers and unorganised workers in informal sector will become eligible for provisions of the Employees Provident Fund organisation, Employees State insurance Corporation and National Social Security Board.
Registration, Subscription and Cancellation
- An eligible unorganized worker of any category/sub-category of worker including informal and gig workers have to register in the portal through Aadhar Card on self-declaration basis.
- An eligible unorganized worker has to submit the Form electronically in the specified portal of Central Government.
- Upon successful completion of registration an eligible unorganized worker would receive a unique registration number through an acknowledgment receipt.
- Aadhar based registration is possible for building and construction workers on the specified portal of the central Government and State Government or the State Welfare Board in order to avail benefits.
- Building/construction worker has registered himself on the portal and shall be entitled to social security benefits even if he/she migrates to a different State.
Liabilities of the gig and construction workers company
- Monthly subscription has to be paid by gig workers company through the portal.
- 1% against the rate of interest will be levied against the company every month from the date of default in payment as penalty. This has been reduced from 2% which was earlier levied against non-payment of subscription.
- Registration shall be cancelled in case of closure of business activities.
- The employer shall calculate the cost of construction as per rates specified by the state public works department or central public works department for the purpose of self-assessment.